Artificial intelligence (AI) and private networks have helped elevate industrial networking, yet research from Nokia has found that AI’s potential in industrial settings hinges on access to high-quality, real-time data, while on-premise edge and private wireless are key to unlocking AI’s potential in complex industrial environments.
Nokia’s 2025 Industrial digitalisation report drew on insights from 115 industrial enterprises in manufacturing, energy, logistics, mining and transportation in Australia, Germany, Japan, the UK and the US.
Among the key findings of the study was that as many as 87% of on-premise edge and private network adopters are seeing a return on investment in just one year while enabling AI-driven use cases. In addition, 81% of industrial enterprises found setup costs lower, with over half saving at least 11%. Ongoing costs also dropped for 86% of companies, with 60% reporting savings of at least 11%.
Virtually all industrial enterprises were found to have deployed on-premise edge technology alongside private wireless. This combination said Nokia was enabling secure, low-latency connectivity in complex environments and pervasive sensor coverage, even in hard-to-reach areas, supporting AI-driven use cases such as predictive maintenance, real-time monitoring and digital twins in 70% of surveyed enterprises.
The study also highlighted how operational performance improvements driven by private wireless networks are supporting sustainability goals. Some 94% of the surveyed industrial enterprises reported a reduction in carbon emissions, with 41% achieving decreases of more than 20%, and 89% seeing energy savings. These gains were being amplified by predictive maintenance, connected devices and drones that cut fuel-intensive travel and enable more accurate, real-time emissions tracking.
Beyond environmental impact, 71% of surveyed companies were found to be actively deploying connected worker tools such as automated alarms, AI-assisted monitoring and geofencing solutions to reduce accidents and strengthen worker safety.
Nokia suggested that connected devices streamline tasks by reducing the need to move for signal and simplifying access to information. They also cut paperwork and minimise human error, boosting efficiency on-site, and automation.
Not surprisingly, security remained a top priority, with 57% of respondents identifying cyber security as a driver to deploy an industrial edge platform powered by a private wireless network. Nokia noted that its private wireless solutions offer built-in encryption, physical network separation and compatibility with zero-trust frameworks, making them ideal for mission-critical infrastructure while maintaining business continuity and compliance.
The study was conducted by GlobalData. Assessing the trends revealed in the study, the company’s research director Gary Barton said: “Industrial enterprises are turning to private wireless and on-premise edge to drive innovation and industrial transformation.
“These deployments are delivering a clear return on investment and enabling use cases that would not otherwise have been possible. Private wireless and edge have helped enterprises to improve worker safety, support sustainability and create a delivery platform for AI-powered solutions such as process automation and predictive maintenance.”
David de Lancellotti, vice-president of enterprise campus edge sales at Nokia, added: “[Research] forecasts the global private wireless network market will nearly double to US$8bn by 2027. This reflects the growing demand as industries face mounting pressure to modernise in line with global sustainability and efficiency goals.
“[This] research helps leaders build strong business cases for digitalisation by showing how private wireless and on-premise edge not only reduce costs but also accelerate scalable transformation with measurable improvements in worker safety, productivity, security and environmental impact.”
The study also showed that how leading chemical company BASF has deployed Nokia private wireless at its Antwerp facility to advance its digitisation strategy and enable reliable, high-performance connectivity across its six km2 premises. The private network supports AI- and sensor-driven use cases such as real-time monitoring and predictive maintenance, enhances automation and efficiency, improves worker safety, and reduces environmental impact.
“Private 5G has been a game changer for BASF Antwerp. We’re unlocking automation, strengthening occupational safety, accelerating innovation and meeting ROI targets in just two years,” said Steven Werbrouck, expert network connectivity at BASF. “We have become a front-runner for the wider group with learnings that will deliver value at multiple BASF group locations.”
